VELA Investment Management LLC Increases Holding in CSX Co.

VELA Investment Management LLC has significantly increased its investment in shares of CSX Co. (NASDAQ:CSX) by 139.8% during the fourth quarter. According to their recent 13F filing with the Securities & Exchange Commission, VELA now owns 80,535 shares of the company after acquiring an additional 46,950 shares in the reporting period. At the end of this quarter, VELA's stake in CSX was valued at approximately $2,599,000.

Institutional Investor Activity

Several other institutional investors have also made moves concerning CSX shares. For instance, Valley Wealth Managers Inc. raised its stake by 177.8% in the previous quarter, now holding 750 shares worth about $26,000 after acquiring 480 additional shares. Sierra Ocean LLC took a new position in CSX worth around $33,000 in the fourth quarter. Similarly, Center for Financial Planning Inc. increased its holdings by 205.7%, now owning 1,070 shares valued at $35,000 after adding 720 shares. Another institutional investor, Addison Advisors LLC, boosted its position by 348.5%, reaching 1,045 shares worth $36,000 after acquiring 812 more shares. Wingate Wealth Advisors Inc. also entered the market for CSX shares, investing approximately $39,000. Overall, institutional investors hold 73.57% of CSX's stock.

Market Analysts Provide Insight

Research analysts have recently shared their perspectives on CSX. BMO Capital Markets reduced its price target from $40.00 to $38.00 while maintaining an “outperform” rating. Citigroup also lowered their target price from $40.00 to $39.00, affirming a “buy” rating in their recent notes. Meanwhile, Jefferies Financial Group upgraded their stance from “hold” to “buy,” setting a target of $37.00. Barclays followed with a reduction in their target from $40.00 to $38.00, maintaining an “overweight” rating. Loop Capital, on the other hand, downgraded their rating from “buy” to “hold” with a new target of $34.00. Currently, six analysts rate CSX with a hold, while thirteen assign a buy rating, leading to an average rating of "Moderate Buy" with a price target of $37.16 according to MarketBeat data.

Current Stock Performance

The stock of CSX opened at $32.01 last Friday. It has a 50-day moving average of $32.60 and a 200-day moving average of $33.71. The company boasts a market cap of approximately $61.73 billion with a price-to-earnings (PE) ratio of 17.88. Its one-year range shows a low of $31.43 and a high of $38.61. CSX reports a current ratio of 0.86, a quick ratio of 1.23, and a debt-to-equity ratio of 1.43.

Financial Results and Dividend Announcement

CSX recently reported its quarterly earnings results, showing earnings of $0.42 per share which fell short of analyst expectations of $0.44 by $0.02. The company's return on equity stands at 28.15%, with a net margin of 23.95%. Looking ahead, analysts project that CSX will report approximately 1.83 EPS for the current fiscal year. Additionally, CSX announced a quarterly dividend to be paid on March 14th, with a record date of February 28th. This dividend payment, which is 0.13 per share, raises the annualized dividend to $0.52 with a yield of 1.62%. The previous quarterly dividend was $0.12, reflecting a positive change in payouts. The current dividend payout ratio is 29.05%.

About CSX Corporation

CSX Corporation, through its subsidiaries, operates as a provider of rail-based freight transportation services. This includes the transport of intermodal containers and trailers, as well as other transportation services such as rail-to-truck transfers. CSX is also involved in the movement of various commodities including chemicals, agricultural products, minerals, and automobiles.

Investment, Stocks, CSX